International Trade Division

Part I

Ministry of Foreign Affairs, Regional Integration &

International Trade

Thursday 7th February 2013

Background

With a view to enlarging its economic space and market, Mauritius joined the regional economic groupings of COMESA and SADC that were emerging in the early 1980’s and 1990’s. As a small island state, Mauritius aimed at enlarging its economic space and its market while, simultaneously, seeking better access for its goods and services in the region. Today, Africa is experiencing increased economic momentum with changes taking place on various fronts: economic, social, political and there are vast opportunities and potential that Mauritius should endeavour to tap.

In view of the importance of the regional markets, Mauritius has been playing an active role in trade negotiations at the level of both SADC and COMESA. The SADC Protocol on Trade was signed in 1996 but its implementation started in 2000. SADC formally launched its Free Trade Area (FTA) at the Heads of States Summit held in South Africa on 17 August 2008 when 85% of tariff lines of SADC Member states became duty-free. The remaining 15% tariff lines were deemed sensitive and were accorded a longer liberalisation time-frame up to 2012.

At the level of COMESA, a Free Trade Area is operational since year 2000. However, so far only 15countries out of 19 are participating in the FTA. The remaining four, namely DR Congo, Eritrea, Ethiopia, and Swaziland have yet to join and the challenge is to bring all of them on board.

An important development at the regional level is the COMESA-EAC-SADC Tripartite initiative which aims at harmonizing the trade regimes of the COMESA, EAC and SADC through the establishment of an enlarged Free Trade Area. The Tripartite initiative would result in the creation of an integrated market of 26 countries with a combined population of nearly 600 million people.

Trade with SADC States (excluding COMESA members Madagascar, Malawi, Seychelles, Swaziland, Zambia and Zimbabwe)

Year / Imports (Rs billion) / Exports (Rs billion)
2010 / 11.82 / 3.85
2011 / 11.43 / 5.17
2012* / 8.35 / 5.01

*From January to September 2012 (CSO figures)

Trade with COMESA states

Year / Imports (Rs billion) / Exports (Rs billion)
2010 / 3.97 / 4.97
2011 / 4.57 / 5.63
2012* / 3.16 / 4.70

*From January to September 2012 (CSO figures)

Strategies for tapping the regional markets

The following has been identified as important strategies for Mauritius to tap the regional markets: increased participation in trade fair, identify the trade potential in most promising markets and undertake aggressive marketing and trade promotion campaigns on selected markets.

The trade potential tables below provide indicators on import and export performances. It gives further information on the annual growth from 2007 to 2011 and also the indicative potential trade that exists for specific products.

Angola

Angola has a population of about 18.5 Million inhabitants. It is currently Africa’s second largest oil producer, after Nigeria, producing over 1.9 million barrels per day. Its GDP growth slightly increased from 3.4% in2010 to an estimated 3.5% in 2011, driven mainly by rising oil prices and strong non-oil sector growth. The main exports include crude oil, diamonds, refined petroleum products, coffee, fish products, timber, cotton and the main imports are machinery and electrical equipment, vehicles and spare parts, medicines, food and textiles.

Trade with Angola

Year / Imports (Rs mn) / Exports (Rs mn)
2008 / 0.34 / 16.72
2009 / 0.57 / 73.14
2010 / 60.8 / 64.05
2011 / 0.13 / 25.73

Potential Trade between Mauritius and Angola

Product Code / Products / Angola's imports from Mauritius / Mauritius's exports to world / Angola's imports from world / Indicative potential trade, USD thousand
Value in 2011, USD thousand / Equivalent ad valorem tariff applied by Angola to Mauritius / Value in 2011, USD thousand / Value in 2011, USD thousand / Annual growth in value between 2007-2011, %, p.a.
'170199 / Refined sugar, in solid form, nes / 5 / 218941 / 147101 / 15 / 147101
'160414 / Tunas,skipjack&Atl bonito,prepard/preservd,whole/in pieces,ex mincd / 15 / 264350 / 33792 / 14 / 33792
'030379 / Fish nes, frozen, excluding heading No 03.04, livers and roes / 20 / 37062 / 32275 / 61 / 32275
'300490 / Medicaments nes, in dosage / 3.5 / 29922 / 94468 / 9 / 29922
'170111 / Raw sugar, cane / 2 / 80115 / 26924 / 135 / 26924
'610910 / T-shirts, singlets and other vests, of cotton, knitted / 15 / 285393 / 12021 / -10 / 12021
'110100 / Wheat or meslin flour / 8.3 / 10372 / 205229 / 10 / 10372
'190219 / Uncooked pasta, not stuffed or otherwise prepared, nes / 10 / 9579 / 43052 / 7 / 9579
'330499 / Beauty or make-up preparations nes; sunscreen or sun tan preparations / 20 / 9125 / 23047 / 20 / 9125
'730690 / Tubes, pipe & hollow profiles, iron or steel, welded, nes / 739 / 15 / 9370 / 10429 / 4 / 8631
'310520 / Fertilizers cntg nitrogen,phosphorus&potassium in packs weighg / 2 / 6624 / 13258 / 16 / 6624
'220210 / Waters incl mineral&aeratd,containg sugar o sweeteng matter o flavourd / 30 / 6324 / 13807 / -32 / 6324
'851712 / Telephones for cellular networks mobile telephones or for other wirele / 31 / 5131 / 60735 / -1 / 5100
'711319 / Articles of jewellry&pt therof of/o prec met w/n platd/clad w prec met / 30 / 40681 / 5034 / 0 / 5034
'880330 / Aircraft parts nes / 2 / 4945 / 31037 / -18 / 4945
'240220 / Cigarettes containing tobacco / 30 / 4926 / 18118 / 27 / 4926
'620342 / Mens/boys trousers and shorts, of cotton, not knitted / 15 / 93948 / 4499 / 1 / 4499
'392330 / Carboys, bottles, flasks and similar articles of plastics / 15 / 4314 / 34877 / 28 / 4314
'620520 / Mens/boys shirts, of cotton, not knitted / 15 / 142831 / 3977 / -6 / 3977
'392390 / Articles for the conveyance or packing of goods nes, of plastics / 15 / 12083 / 3949 / 7 / 3949
'220300 / Beer made from malt / 30 / 3925 / 178418 / 10 / 3925
'481910 / Cartons, boxes and cases, of corrugated paper or paperboard / 15 / 3634 / 11543 / 17 / 3634
'160413 / Sardines,sardinella&brislg o sprats prep o presvd,whole o pce ex mincd / 15 / 3195 / 9052 / -11 / 3195

Trade opportunities with Angola

In light of the above trade data, Mauritius should focus on the following products concerning exports to Angola:

·  Sugars and sugar confectionary

·  Pharmaceutical products

·  Meat

·  Fish

·  Articles of apparel

·  Beverages

Botswana

Botswana, officially the Republic of Botswana, is a landlocked country located in Southern Africa. It has one of the world's highest economic growth rates since it achieved independence in 1966 and has transformed itself from one of the poorest countries in the world to a middle-income country. The main export products are diamonds, copper, nickel, meat, textiles while main imports include foodstuffs, machinery, electrical goods, transport equipment, wood and metal products.

Trade with Botswana

Year / Imports (Rs mn) / Exports (Rs mn)
2008 / 51.27 / 1.89
2009 / 15.05 / 3.88
2010 / 0.84 / 3.37
2011 / 0.29 / 1.97

Potential Trade between Mauritius and Botswana

Product Code / Products / Botswana's imports from Mauritius / Mauritius's exports to world / Botswana's imports from world / Indicative potential trade, USD thousand
Value in 2011, USD thousand / Equivalent ad valorem tariff applied by Botswana to Mauritius / Value in 2011, USD thousand / Value in 2011, USD thousand
'710239 / Diamonds non-industrial nes excluding mounted or set diamonds / 0 / 0 / 52948 / 69378 / 52948
'170199 / Refined sugar, in solid form, nes / 0 / 0 / 218941 / 37826 / 37826
'300490 / Medicaments nes, in dosage / 0 / 0 / 29922 / 98203 / 29922
'230990 / Animal feed preparations nes / 0 / 0 / 13552 / 16828 / 13552
'170111 / Raw sugar, cane / 0 / 80115 / 9982 / 9982
'110100 / Wheat or meslin flour / 0 / 0 / 10372 / 8702 / 8702
'620342 / Mens/boys trousers and shorts, of cotton, not knitted / 0 / 0 / 93948 / 7637 / 7637
'610910 / T-shirts, singlets and other vests, of cotton, knitted / 0 / 0 / 285393 / 6901 / 6901
'610990 / T-shirts,singlets and other vests,of other textile materials,knitted / 0 / 0 / 77571 / 6207 / 6207
'851712 / Telephones for cellular networks mobile telephones or for other wirele / 0 / 0 / 5131 / 6343 / 5131
'240220 / Cigarettes containing tobacco / 0 / 0 / 4926 / 36530 / 4926
'761010 / Doors, windows and their frames and thresholds for doors of aluminium / 0 / 0 / 4543 / 5359 / 4543
'392390 / Articles for the conveyance or packing of goods nes, of plastics / 0 / 0 / 12083 / 4377 / 4377
'392330 / Carboys, bottles, flasks and similar articles of plastics / 0 / 0 / 4314 / 6488 / 4314
'220300 / Beer made from malt / 0 / 0 / 3925 / 18366 / 3925
'481910 / Cartons, boxes and cases, of corrugated paper or paperboard / 0 / 0 / 3634 / 17228 / 3634
'610690 / Womens/girls blouses and shirts, of other materials, knitted / 0 / 0 / 11576 / 3597 / 3597
'160413 / Sardines,sardinella&brislg o sprats prep o presvd,whole o pce ex mincd / 0 / 0 / 3195 / 3639 / 3195
'490199 / Books, brochures, leaflets and similar printed matter, nes / 38 / 0 / 3127 / 14396 / 3089
'610469 / Womens/girls trousers and shorts, of other textile materials, knitted / 0 / 0 / 3470 / 2947 / 2947
'190230 / Pasta nes / 0 / 0 / 2641 / 7221 / 2641
'610590 / Mens/boys shirts, of other textile materials, knitted / 7 / 0 / 3537 / 2628 / 2621
'340119 / Soap&orgn surf prep,shapd,nes;papers&nonwovens impreg w soap/prep,nes / 0 / 0 / 2463 / 8777 / 2463
'030379 / Fish nes, frozen, excluding heading No 03.04, livers and roes / 0 / 37062 / 2458 / 2458

Trade opportunities with Botswana

In light of the above trade data, Mauritius should focus on the following products concerning exports to Botswana:

·  Sugars and sugar confectionary

·  Pharmaceutical products

·  Milling products, malt

·  Articles of apparel

·  Beverages

·  Printed books

Burundi

Burundi, officially the Republic of Burundi is a landlocked country in the Great Lakes region of Eastern Africa. Political unrest occurred throughout the region, in part, because of social differences between the Tutsi and Hutu, provoking civil war in Burundi throughout the middle twentieth century. Burundi is one of the five poorest countries in the world. It has one of the lowest per capita GDPs of any nation in the world. The economy is predominantly agricultural. It accounts for just over 30% of GDP and employs more than 90% of the population. Burundi's primary exports are coffee and tea, which account for 90% of foreign exchange earnings. It imports mainly petroleum products and foodstuffs.

Trade with Burundi

Year / Imports (Rs mn) / Exports (Rs mn)
2008 / - / 10.13
2009 / - / 1.65
2010 / - / 45.47
2011 / - / 48.34

The export figures indicate that there are interesting trade opportunities that should be further explored.

Potential Trade between Mauritius and Burundi

Product Code / Products / Burundi's imports from Mauritius / Mauritius's exports to world / Burundi's imports from world / Indicative potential trade, USD thousand
Value in 2011, USD thousand / Equivalent ad valorem tariff applied by Burundi to Mauritius / Value in 2011, USD thousand / Value in 2011, USD thousand / Annual growth in value between 2007-2011, %, p.a.
'300490 / Medicaments nes, in dosage / 0 / n/a / 29922 / 36625 / 20 / 29922
'170199 / Refined sugar, in solid form, nes / 0 / n/a / 218941 / 9930 / 95 / 9930
'901890 / Instruments and appliances used in medical or veterinary sciences, nes / 0 / n/a / 12928 / 7502 / 33 / 7502
'490199 / Books, brochures, leaflets and similar printed matter, nes / 0 / n/a / 3127 / 3071 / 35 / 3071
'220300 / Beer made from malt / 0 / n/a / 3925 / 2973 / 29 / 2973
'310520 / Fertilizers containing nitrogen,phosphorus&potassium in packs weighing / 0 / n/a / 6624 / 2512 / 65 / 2512
'110100 / Wheat or meslin flour / 0 / n/a / 10372 / 2437 / 30 / 2437
'271019 / Light petroleum distillates nes / 22 / n/a / 2146 / 99755 / 11 / 2124
'482110 / Paper labels of all kinds, printed / 0 / n/a / 2092 / 2167 / 17 / 2092
'330499 / Beauty or make-up preparations nes; sunscreen or sun tan preparations / 0 / n/a / 9125 / 1923 / 60 / 1923
'721011 / Flat rolled prod,i/nas,platd or coatd with tin / 0 / n/a / 3428 / 1790 / 1790
'240120 / Tobacco, unmanufactured, partly or wholly stemmed or stripped / 0 / n/a / 1546 / 1867 / 48 / 1546
'730690 / Tubes, pipe & hollow profiles, iron or steel, welded, nes / 158 / n/a / 9370 / 1509 / -1 / 1351
'761010 / Doors, windows and their frames and thresholds for doors of aluminium / 0 / n/a / 4543 / 1238 / 57 / 1238
'851712 / Telephones for cellular networks mobile telephones or for other wireless / 0 / n/a / 5131 / 1197 / 49 / 1197
'310210 / Urea,wthr/nt in aqueous solution in packages weighg more than 10 kg / 0 / n/a / 1010 / 2250 / 40 / 1010
'252329 / Portland cement nes / 0 / n/a / 1003 / 32554 / 15 / 1003
'630900 / Worn clothing and other worn articles / 0 / n/a / 923 / 5363 / 22 / 923
'491199 / Printed matter, nes / 0 / n/a / 1908 / 909 / 59 / 909
'392330 / Carboys, bottles, flasks and similar articles of plastics / 0 / n/a / 4314 / 877 / 37 / 877
'847330 / Parts accessories of automatic data processing machines units thereof / 39 / n/a / 913 / 5241 / 70 / 874
'170490 / Sugar confectionery nes (including white chocolate),not containing cocoa / 0 / n/a / 2249 / 849 / 4 / 849
'392690 / Articles of plastics or of other materials / 0 / n/a / 1300 / 844 / 30 / 844
'040299 / Milk and cream nes sweetened / 44 / n/a / 884 / 2751 / 178 / 840
'853690 / Electrical app for switch/protect elec circuits / 0 / n/a / 1351 / 835 / 31 / 835
'210690 / Food preparations nes / 0 / n/a / 747 / 1548 / -18 / 747
'151190 / Palm oil and its fractions refined but not chemically modified / 0 / n/a / 731 / 4606 / 6 / 731
'250100 / Salt (including table salt&denaturd salt) pure sodium chloride&sea water / 0 / n/a / 705 / 3694 / 63 / 705
'611420 / Garments nes, of cotton, knitted / 0 / n/a / 1625 / 675 / 358 / 675

Trade opportunities with Burundi